I am working as a permanent employee in a UK company but I stay in India and used to work at home. I receive money as INR into my savings bank account. Should I pay tax? If UK company sends money in GBP currency then also I need to pay tax? In which case individual may get max tax exemption after receiving foreign income. Thanks Tapas
You would need to pay taxes in India on your salary. It is not relevant whether the funds are received as INR or GBP. The taxes would be as per normal tax brackets. Note that if your company is not deducting any taxes, you would need to keep paying Advance Taxes as per schedule, else there would be penalty.
Depending on your contract with the UK Company, there are certain expenses you can claim. For example laptop / net connection / etc if these are not already reimbursed.
Consult a CA and he would advise you more on any tax saving opportunity.